What is eNACH? All you need to know about eNACH Registration!

Digitization paved the way for net banking and mobile banking, which revolutionised the banking industry.

eNACH or Electronic National Automated Clearing House is a digital payment method that helps financial institutions to automate payment services. It was built by combining all the Electronic Clearing System, which was used previously to debit money from borrowers. It has revolutionised payment by eliminating the need for physical paperwork. It is a seamless and secure payment system.

If you’re looking for a convenient way to make digital transactions, then eNACH mandate could be your solution. This payment method allows you to automate recurring transactions, which makes it an excellent option for utility bill payments, loan EMIs, and other regular payments. To help you get started, here’s a comprehensive guide for eNACH registration.

Read on to explore the benefits of what is eNACH Mandate and eNACH registration.

What is eNACH?

For those wondering, ‘what is eNACH?’ The eNACH full form stands for ‘electronic National Automated Clearing House’, it is an improvement over the NACH, and facilitates interbank high volume, low-value electronic transfers, which are periodic and repetitive in nature on the Internet. It eliminates most of the processes you go through in NACH. Forms are not required, while logistics and human interactions are limited. The process takes just a few hours to complete and activate.

Understanding The Importance Of eNACH Meaning

To understand the eNACH meaning, it is necessary to understand recurring payments.

Recurring payments or subscriptions are automatic payments wherein a customer authorises a service provider to debit a fixed or variable amount from their bank account at regular intervals.

Today, various business models use recurring payments today, including:

Digital lending industry:
NBFCs and digital lenders can automate loan recovery by creating e-mandates up to 50 lakhs. By doing this, borrowers are better able to pay back their loans on time and less likely to default.

Investments and wealth management:
Investment platforms can automate investors' SIP payments and ensure uninterrupted investments for their customers.

Insurance Providers:
Insurance Premiums are usually collected on a recurring basis at monthly, quarterly, half-yearly or yearly intervals by insurance companies.

Software as a Service (SaaS):
SaaS businesses are heavily dependent on charging a recurring payment every month which can scale up with ease.

Utility:
Telephone bills, electricity bills, cable bills, gym membership etc. come under utilities, and are recurring in nature.

Rentals:
Housing rentals, office rentals, co-working and co-living spaces, and other renting facilities usually work on a recurring payment model.

What do you need for eNACH registration?

Now that we know what is eNACH—the eNACH registration process is when customers sign up to make recurring payments via eNACH Mandate. Whether the customers purchase an insurance policy or invest in a SIP, they can choose to pay premiums or instalments through eNACH at the very beginning.

Simply put, it's a way for companies to enroll customers for a service or product in exchange for their timely payment. For instance, you do Systematic Investment Planning through eNACH which is an entirely digital process.Log into the fund house’s website and then fill in the eNACH form details.

How To Complete eNACH Registration With Viva Money:

Step 1: Check Eligibility for eNACH Registration

Ensure that you have a bank account that supports net banking and a debit card. If you don't have these, visit a nearby bank branch for assistance.

Step 2: Initiating eNACH Mandate with Viva Money

Contact Viva Money through their customer service, either in person or over the phone. Provide the following details to complete the eNACH registration:

• Account holder's name

• Email or mobile number

• Start and end dates of EMI payments

• Amount type

• Frequency of payments

• Maximum debit amount

• LAN (16-digit alphanumeric)

• Customer bank account number

• Bank name

Confirm your preference for making EMI payments through net banking or debit card. After authentication by Viva Money (the sponsor bank), the completed form is sent for processing.

Step 3: Receive Email and Text Message

Once the eNACH registration is initiated, you'll receive an email and SMS on your registered email address and mobile number. Click on the provided link within 10 days to proceed.

Step 4: Verification and Authentication by the Customer

Click on the link to access the eNACH preview page. If you've chosen net banking, verify the details, including your PAN number, and confirm by clicking 'Confirm.' This will take you to the bank authentication page, displaying details such as bank name, account number, and eNACH Mandate amount.

Confirm your registration details, verify the OTP sent to you, and a nominal amount will be deducted from your account for confirmation.

If using a debit card, the process is similar. Verify the debit card number, PIN, and expiration date. After completion, you will receive an acknowledgment of your eNACH registration with Viva Money.

eNACH: Revolutionising Payments, Streamlining Futures

Unlocking the power of digitization, eNACH (electronic National Automated Clearing House) is transforming recurring payments. Born from ECS and NACH, it ditches physical mandates, offering a turbocharged solution for swift, high-volume transfers.

User-friendly eNACH registration lets you effortlessly sign up for recurring payments. Secured by Aadhaar in NPCI's Mandate, it ensures a seamless experience. Clear criteria, a simple initiation process, and defined verification steps make it accessible to all with Internet banking or a debit card.

Beyond convenience, eNACH mandate plays a pivotal role in digital lending, investments, insurance, SaaS, utilities, and rentals. It's the automation hero, elevating customer experience and slashing defaults. From automating loan recollections to streamlining billing, eNACH is the transformative force in the digital financial landscape.

In the era of digital evolution, eNACH takes centre stage, epitomising efficient, secure, and user-friendly financial services. Witness the power of digitization with eNACH, seamlessly fueling recurring payments across diverse sectors.